12b-1 Fees

question 29

Multiple Choice

12b-1 fees

• A)are determined as a small percentage of the fund's investable assets.
• B)are annual fees to cover distribution and marketing costs of the fund.
• C)have been approved by the SEC.
• D)are capped at a maximum 0.25 percent for no-load funds.
• E)All of the options.

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Definitions:

Unilaterally Mistaken

A situation where only one party to an agreement is confused about the terms or subject matter, potentially affecting the validity of the contract.

Contractual

Pertaining to, or characterized by, a contract or agreement between two or more parties.

Damages Recoverable

The amount of money that can be claimed or awarded as compensation for loss or injury in a legal action.

Dollar Limits

The maximum amount of money that can be claimed from a jurisdictional perspective or under a specific insurance policy.